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rupert murdoch who refused to comment. many fingers are pointing to rebecca brooks now a senior executive with murdoch's empire but at the time was the editor of news of the world. so far the murdochs are defending rebecca brooks job but this is far from over. >> when is the response of the media the paper going away after 168 years? >> reporter: it's a bombshell and a great sadness because it's tradition but a lot of speculation about what is to come. more arrests and certainly more resignations and a lot of interest how this will affect the murdoch business empire. i see the stock is down 4% of the parent company in new york this morning. one of their deals has now been delayed here in britain. >> a 12 million pound deal we will talk about in a minute. >>> eleanor goodman is from channel 14 in britain. good morning. >> good morning. >> how extraordinary move of this is for a paper around almost 170 years to all of a sudden just shut down like this? >> it is extraordinary. i was talking to a person earlier today like a pencil line on a boat. murdoch is
the pond. rebekah brooks has resigned in the wake of the growing phone-hacking scandal. this is the fbi as it looks look allegations that murdoch's employees tried to hack into the cell phones of 9/11 victims back here in the states. we have got all of that "early" this friday morning, july 15th, 2011. captioning funded by cbs >>> good morning. it is a beautiful start to the friday, july 15th, here in new york. good morning to everybody. out there. i'm chris wragge. >> a fine way to kick off your weekend. nice to have you with us. i'm erica hill. >>> washington, we have been talking about a lot when it comes to the budget crisis not the only capital with one. last night, minnesota, we have been following this as well. government shutdown for two weeks and minnesota managed to resolve their issue last night. a small sigh of relief for folks there but it happens in week two of a statewide shutdown. see the uptown diner in st. paul who are fed up not with just their state government but also with washington. we will talk to them and see if maybe they have some ideas for
minister gordon brown's baby just after he was diagnosed with cystic fibrosis. it was rebekah brooks, murdoch's british c.e.o., who called the browns to tell them the story was running, this according to former political aide david muir. >> they didn't know how rebekah came across this information and now that it's come to light it was obtained by what appeared to be an illegal method. >> reporter: as the revelations pile up, a police inquiry has moved into high gear. in 2007, an internal investigation at rupert murdoch's u.k. company is reported to have found clear evidence of illegal activity. but managers didn't take their findings to the police. instead, phone hacking victims who sued were paid to settle out of court. murdoch's son, james, now a director of the new york-based news corporation, authorized one payment for what's said to have been more than a million dollars. >> i acted on the advice of executives and lawyers with incomplete investigation, and that's a matter of real regret for me personally. >> reporter: now that has damaged rupert murdoch's business, he's already
seo paper. th d to the cameras as he headed out for dinner with rebekah brookes, his embattled british c.e.o. this is damage control by a man who shows well how to manage his message. but the phone hacking scandal has already cost him one of his most profitable papers. yesterday evening, staff leaving the "news of the world" for the last time put a brave face on the murdoch decision to shut it down. the "news of the world" was the best selling newspaper in britain. a cheeky blend of skin, scandal and gotcha journalism squarely aimed at british working people who enjoyed seeing the rich and the powerful taken down a peg or two. but not families touched by grief. the "news of the world" is under police investigation for hacking into voicemails belonging to relatives of fallen soldiers and a murdered teenager. journalists also hacked into the phones of celebrities who found out and sued. it was james, rupert murdoch's son and heir apparent, who authorized a reported million dollar out-of-court settlement to at least one of the hacking victims. this week, he admitted it was a mistake. >> i
british c.e.o. rebecca brooks and his son james face questions from investigators about what they knew and when. in the u.s. where rupert murdoch has his corporate headquarters, three u.s. senators are now asking the american attorney general to look into whether or not the company might have been breaking the law, especially with these allegations of police payoffs. >> mitchell: a lot of people are asking how could the u.s. congress call for something like that over a law that may have been broken overseas. >> reporter: there's a piece of federal legislation, the foreign corrupt practice act that outlaws bribery by american corporations no matter where the world they are operating. >> mitchell: i see. liz palmer, thank you very much. coming up, a big setback today for libyan rebels. our mark philips is on the front lines. women's pro soccer, the biggest goal: survival. and how the space shuttle helped us see the universe as we have never seen it before. when the "cbs evening news" continues. at a time. that's how it is with alzheimer's disease. she needs help from me. and her medicati
brooks. the murdoches could refuse. brook, a british citizen, can be legally compelled. and just as british parliament united in a call on murdoch to withdraw his bid for control of pay tv company bskyb, the wily media tycoon struck preemptively. he announced he was withdrawing his bid. today he surprised everyone with this statement from news corp, quote, we believe it's too difficult for the bid to progress and it is being read here as a humiliation for murdoch. we should also note that news corp's announcement came out at the precise moment that prime minister cameron was sitting down to meet the family of milly doweler that sparked this controversy in the first place. >> interesting timing indeed. what's the reaction to this rather new developmr%] at this point? >> well, many people say it doesn't change anything. murdoch can re-introduce his bid later potentially in the criminal and parliamentary inquiries will continue regardless into the alleged wrongdoing by his newspapers and there may be a debate should he even own the portion of bskyb that he already has. it's a scanda
lunch with rebecca brooks. there is a scramble inside the media empire to control toxic fallout from "the news of the world" hacking scandal, which could start making waves in the u.s. >> there's also the issue of did it happen here? "the news of the world" has lots and lots of reporters at any given time on the ground in the u.s. many of its stories, particularly many of its celebrity stories are datelined here. >> reporter: the scandal broke last week with the case of millie dauer. her parents and others discovered that personal voice messages had been hack ed by nes of the journalists hunting for stories. in 2007, a secret internal investigation at murdoch's uk company -- the question now is who knew what when? the ceo of dow jones and publisher of the wall street journal, both owned by murdoch. he may have seen that report. and rupert murdoch's son, james, authorized a reported $1 million payment to one of the hacking victim. >> i acted on the advice of executives and lawyers within complete investigation. and that's a matter of real regret for me, personally. >> reporter: shareh
Search Results 0 to 6 of about 7

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